7 Reasons Why the Indian Stock Market is No Longer a Big Gamble
When Anand Patel, a resident of Ahmedabad, received Rs 11 lakh from his ancestors’ property, he started thinking of investing the money.
Some said to make FDs, some said to deposit in banks, some said to go to the post office, and some talked about taking advantage of savings schemes.
Anand was more impressed by his friend Ravindra Singh, who suggested investing money in the stock market.
But as soon as Anand discussed this with his wife, the wife clearly said, I will die, but you will not let me invest in the stock market. Anand asked why, and got the answer that the stock market is a gamble!
This belief remains in almost all the middle-class families of the country.
Yes, people think that the stock market is a gamble; if the stock goes up, then profit; if it falls, then loss; and everything is a game of luck.
Whereas, if you tell the truth, if you are going to invest money in the stock market wisely, then it is not gambling but gives you profit—and a lot of profit.
How Investing Money in the Stock Market is Not Gambling
When to Invest Money
To avoid sinking money, invest only when there is a recession in the market. Or the shares of a big company should be cheap.
Because as soon as the cloud of recession clears, the share price goes up, and the same happens when the company gets profit. At that time, you can sell your shares and earn a profit.
Increasing Valuation
The valuation of companies in the Indian stock market is increasing rapidly. That is, the possibilities of a boom in the future are increasing.
Registered Companies
The value of companies registered in the Indian stock market is higher than the GDP. At present, it is 93 lakh crores, which is 86 percent of GDP. Which means the market is going in the right direction. The smallest jump in this will yield huge profits.
Skyrocketing Stock Prices
There are many companies in India whose shares have touched the sky in the last three years. But there were some whose shares did not rise, but yes, the number of companies falling down has been less.
Stable Central Government
The stock market has been continuously rising since the advent of a stable central government. It has become common for the stock market to boom due to one good news after another, so the chances of losing money have reduced.
Buffett’s Statement
Always remember Buffett’s statement while investing money in the stock market: “Be greedy when everyone else is scared and be fearful when everyone else is greedy. Now the fear is over.
Investments Will Increase
Interest rates are rising rapidly in the US. If there is a big boom in this, then the big investors in the world can turn to India. And in such a situation, the local investors here will only get profits.
